Getting a loan is sometimes a good way out, but you have to be very careful not to get into debt. After all, no one wants to lose control of the monthly budget and have this operation as their only way out.
In these situations, due to little research and evaluation, most consumers usually opt for overdraft or borrow from traditional banks with very high interest rates. However, there are currently options on the market for those who need a cheaper loan, just search a little.
A cheaper loan with lower interest rates and a good repayment period can avoid major financial problems for consumers in the future. It is very important to research different lines of credit to be able to remedy debt with some ease.
To help you choose more advantageous loan options, we have listed a few tips below, check it out!
There are several loan modalities and many options in the Brazilian market.
Avoid taking auto loans
Automatic loan arrangements include overdraft and revolving credit card credit, already known to people. Both have interest rates among the highest in the market.
According to Central Bank data, overdraft interest averages 327.95% per year, and revolving credit has an even higher average rate of 490.3% per year. Many consumers often opt for these loans, because of practicality. They are virtually automatic, so customers don’t waste time hiring the service.
Calculate the total loan amount
When borrowing, you need to check the total amounts of the installments and compare with other options. Between one bank and another it is possible to find opportunities with cheaper interest rates, less paperwork, which may decrease the total debt burden.
There are several online simulators to compare different types of loans and the same models of different financial institutions.
Use online lending platforms
There are already some options for getting a personal loan online and without red tape. Many websites already work offering this type of credit using technology and being able to make a very accurate analysis of each consumer.
Lending platforms tend to offer lower interest rates, becoming a good option in the market compared to loans offered by traditional banks.
Pay off the loan through automatic debt
When you take out a loan, choose to pay it back by automatic debit, so the amount of the installments will be discounted month to month straight from your account, which decreases the interest. Adopting this model has advantages not only for you but also for the bank.
Interest rates can be reduced and the bank has more guarantees of payment, as the money will necessarily be deducted from your account, regardless of your financial situation, but you still have to worry about leaving the amount of the installment. every month in your checking account.
To get a cheaper loan you need to study all the options in the market, this will help to reduce debt and make it easier to repay.